A Delaware County rental company will make its first entry into the Lehigh Valley real estate market with the purchase of Allentown's Regency Towers.

Berger Rental Communities of Wayne is buying the high-rise apartment building at 1600 Lehigh Parkway East from Fountain Development Associates of New York City, said Dan Berger, president of Berger Rental. He declined to disclose financial terms.

He said Berger Rental is under contract to purchase the property in mid-June.

The 11-story Regency Towers is a 164-unit apartment building with 10 offices, indoor garage, pool, health and exercise club, social room and tennis facilities, according to the website for Sirius LLC, the property management company for Fountain Development. Efforts to reach Sirius officials Wednesday and Thursday were unsuccessful.

Fountain Development sent letters this week advising Regency Towers tenants of the new ownership. The letter advises residents about an upcoming physical inspection required by the city for "life safety issues" before the sale can be concluded. An inspection is scheduled for June 8, according to the letter.

Jesse Krasnow, president of Sirius, also wrote that Fountain Development has owned Regency Towers since its opening in 1973. He also said the owners reached a "strategic conclusion" to sell.

Berger said negotiations took about three months. His company owns 21 properties and 4,400 apartments in Pennsylvania and Delaware.

"We like the Allentown market, we like the Lehigh County market and we have been actively looking for apartments in this area," Berger said. "We like the tenant base and residents. Our plans are to do some upgrades and to make it an even better place to live."

Berger said no significant rental increases are expected. He said monthly rents average about $1,000.

Overlooking Lehigh Parkway East near the Little Lehigh Creek, Regency Towers was touted as the city's foremost luxury apartment building at its opening.